The cutoff yield for 6-Month Singapore Treasury Bills (SGS T Bills) BS24125S is 3.02% per annum. With falling fixed deposit interest rates and lower returns from Singapore Savings Bonds, Singapore Treasury Bills (SGS T Bills) can be the next best place to put your money. SGS T Bills are low risk in nature and with falling Singapore REIT’s prices, it can be an alternative place to grow your money.
The upcoming 6-month Singapore T Bill (BS25100E) is the last issue of SGS T Bill in this year 2024. Based on the above chart, the interest rate for the last 4 issues of SGS T Bill has been hovering slightly above 3%. The interest rate for the last issue may be around the same range.
Do you know why Singapore Treasury Bills can pay high interest rates? Singapore Treasury Bills can pay high interest rates for several reasons. Firstly, Singapore is known for its strong and stable economy, which makes its government bonds a safe investment option. Investors are willing to accept lower yields on bonds from countries with a stable economy, so Singapore can offer higher interest rates on its Treasury Bills to attract investors.
Additionally, the Monetary Authority of Singapore (MAS) actively manages its monetary policy to control inflation and ensure economic stability, which can lead to higher interest rates on government bonds.
Lastly, Singapore has a high credit rating, which means that investors have confidence in the government’s ability to repay its debts, allowing the government to offer higher interest rates on its Treasury Bills. Overall, these factors contribute to Singapore Treasury Bills being able to pay high interest rates.
If you still do not know what Singapore Treasury Bills are, find out further below.
What are Singapore Treasury Bills?
Singapore Treasury Bills are short-term debt instruments issued by the Singapore government to raise funds for its financing needs. These bills are typically sold at a discount from their face value and mature in 3, 6, or 12 months. They are considered a safe investment as they are backed by the Singapore government’s creditworthiness.
Investors can purchase these bills directly from the Singapore government or through designated financial institutions. Treasury Bills are often used by investors as a low-risk, liquid investment option with a fixed return.
The Announcement Date and Auction Date of Singapore Treasury Bills can be found at Monetary Authority of Singapore (MAS) website under Auctions and Issuance Calendar. The issuance calendar 2025 is already available. For convenience, you can also download a copy to keep on your computer’s desktop.
Singapore T-Bills Calendar
For convenience, I am sharing the Singapore Treasury Bills (T-Bills) Auction and Issuance Calendar here. If you need the Treasury Bill results such as the status of each issuance, please refer to Treasury Bills at MAS website – Auctions and Issuance Calendar.
6-Months T-Bills Calendar
1-year T-Bills Calendar
Tracking of Singapore Savings Bonds (SSB) and Treasury Bills (T-Bills) All in One Place
Stocks Café is probably the only software that I know which allows you to track your purchased Singapore Savings Bonds and Treasury Bills (T-Bills) all in one place together with your stock investments. This makes it easy to track your total net investments.
Stocks Café allows you to create portfolios. You can use portfolio to different your investments. For example, I created three portfolios in Stocks Café, namely Stocks, Singapore Savings Bonds and Treasury Bills. This allow me to categorize how much I allocate for each investment.
Where is the Best Place to Park Your Money?
With falling prices of Singapore REITs, I believe most investors are looking for safer haven to park your money. However, safer haven (lower risk) most often means lower returns.
We should never put all our eggs in the same basket. As such, we should invest in a mix of stocks, REITs, bonds and treasury bills.
If I am to compare between Singapore Savings Bonds and Treasury Bills, I will probably go for Singapore Treasury Bills given the slightly higher returns. SGS T bill yield had always been higher than Singapore Savings Bond and Fixed Deposits.
Having said that, I will also keep a look out for special fixed deposit promotions whereby sometimes bank offer higher interest rates.